Finding Text
COMPLIANCE OVER MAJOR FEDERAL PROGRAM Compliance Requirement: Wage Rate Requirements. CFDA Number: 84.425 Criteria: OMB Uniform Guidance Compliance Supplement Section 4-20.001 requires all laborers and mechanics employed by contractors or subcontractors who work on construction contracts in excess of $2000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project by the Department of Labor. Condition: The District did not acquire certified payroll reports from contractors for the construction project. The District did not verify Wage Rate Requirement compliance. Cause: The District did not require contractors to prepare and provide certified payroll reports to ensure compliance with wage rates for the locality. Questioned Costs: Unknown Recommendation: The District should request and retain certified payroll reports for the construction project. The District should determine if prevailing wage rates were paid to the contractor employees. The district should consult legal counsel if underpayments are discovered. Managements Views: Mangements views and Coerrective Action Plan are included at then end of this report.